Price Gouging Occurs When a Firm Exploits Temporary Excess Demand

question 43

True/False

Price gouging occurs when a firm exploits temporary excess demand to raise prices to unreasonable levels.

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Definitions:

Noise

Unwanted sound that can interfere with communication, concentration, and comfort.

Lying

The act of deliberately telling falsehoods or misrepresenting the truth.

Distortion

The alteration of the original shape or other characteristic of something, often in a way that misrepresents reality.

Media Richness

The capacity of a communication medium to effectively convey information and promote understanding, often depending on its ability to handle multiple cues, facilitate feedback, and establish personal focus.